Essays on Retail Industry Issues Case Study

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The paper 'Retail Industry Issues' is a great example of a Management Case Study. Within the food division, the company boasts of being Australian Industry leaders that are producing popular products in the market such as Sunsol, Lucky. (O’ Donoghue, 2013, p. 12). The Lucky brand has driven growth in the dried food and Nut category for longer than half a century. The Year 2013 saw the Lucky Brand continue to be Australian preferred consumer brand of cooking and baking nuts. As it is, the SHV Market leading brand its continued success for years was bolstered by advertising campaigns during the Christmas period.

This advertisement tempted consumers with their suggestions for a delicious range of Christmas recipes. For over 20 years the Sunol brand has been popular in the muesli category in the retail market. It also specialized in whole food products. Sunol has a range of over 100 products including cereals, nuts, dried fruits, grains, seeds snacks, and mixes. This brand is often sold in independent supermarkets (O’ Donoghue, 2013, p. 12). Soland specializes in the quality of whole food products and healthy natural foods.

Within the year 2013, it continued its leadership in a healthy food brand in food stores and pharmacies within Australia. In retail shops, it offers a range of nutritious foods including nuts, legumes, pulses, and dried fruits. Nu-Vit performance during the year 2013 also proved successful. Its performance in the retail industry especially supermarkets throughout Australia was impressive. Notably, its performance in outside markets like Hong Kong and Singapore was enjoyed as consumers in these regions enjoyed healthier eating options. There has been a subsequent increase between the amounts of earnings from the retail business of the company.

In the Financial Year 2014, the company boasted of an increase in the earning associated with food retail sales of $5.644 Million up from the financial year 2013 that was $ 5.450 (Chambers & O'Donoghue, 2014, p. 3). Porter’ s 5 Force Analysis (Comind Work, 2013) The threat of new market entrants Barriers that exist in the set up of a retail shop in Australia are moderately high since the country is a first world country (Wijaya, et al. , 2012, p. 7). All the major industries in Australia in the Agricultural sector have reached 80:20 saturation.

To simplify the information all agricultural branches have reached 80% of the level of product provided by 20% of all producers. Thus creates a large retail industry (Xntrek, 2011). If warnings by the Australian Grocery and food council are received that Food manufacturers are taking into consideration moving operations offshores is realized producers will feel further constraints of the market locally. Many Places in Australia the value of conducting agriculture inland makes it difficult for them to engage in the market.

Even if the loan is secured still they are hit by stamp duty of 5%. The threat of substitute products There is a presence of substitute products in retail shops in Australia. This is especially the case in the department stores that sell a wide range of goods. The substitution does exist in the Select Harvest market and it will continue to exist. Price and preference however continue to be the determining factor in the retail market in Australia (Schenck, 2012). Select Harvest has the challenge to differentiate itself from the other producers in order to have access to customer loyalty.

Reference

Australian Government Department of Agriculture, 2015. Importing food. [Online]

Available at: http://www.agriculture.gov.au/import/food

[Accessed 11 May 2015].

Bloomberg Business, 2012. Select Harvests Ltd. [Online]

Available at: http://www.bloomberg.com/research/stocks/snapshot/snapshot_article.asp?ticker=SHV:AU

[Accessed 11 May 2015].

Cameron, N., 2013. Today’s customer loyalty game. [Online]

Available at: http://www.cmo.com.au/article/463515/today_customer_loyalty_game/

[Accessed 11 May 2015].

Chambers, P. & O'Donoghue, J., 2014. Select Harvest Anual Report 2014, Melbourne: Price Water House Coopers.

Comind Work, 2013. Five Forces Analysis. [Online]

Available at: http://www.comindwork.com/weekly/2013-09-02/productivity/five-forces-analysis-porter

[Accessed 11 May 2015].

Langley, S., 2015. Online groceries in Australia set to grow, IBISWorld. [Online]

Available at: http://ausfoodnews.com.au/2015/01/14/online-groceries-in-australia-set-to-grow-ibisworld.html

[Accessed 11 May 2015].

O’Donoghue, J., 2013. Transitioning to capture new opportunities.Annual Report 2013, Melbourne: Price Water House Coopers.

Price Water House Coopers, 2011. Key success factors. [Online]

Available at: http://www.pwc.in/industries/retail-and-consumer-key-success-factors.jhtml

[Accessed 11 May 2015].

Schenck, B., 2012. Select Harvests Ltd. [Online]

Available at: http://www.bloomberg.com/research/stocks/snapshot/snapshot_article.asp?ticker=SHV:AU

[Accessed 11 May 20154].

Stewart, M., 2015. FactCheck: is Australia spending over $100m a day more than collected in revenue?. [Online]

Available at: http://theconversation.com/factcheck-is-australia-spending-over-100m-a-day-more-than-collected-in-revenue-37172

[Accessed 11 May 2015].

Westpac Banking Corporation, 2015. Australia Consumer Confidence. [Online]

Available at: http://www.tradingeconomics.com/australia/consumer-confidence

[Accessed 11 May 2015].

Wijaya, A. E., Tedjawidjaja, A., Alsahafi, A. M. A. & Lasmana, M., 2012. Myer Valuation Report, Sydney: MacQuarie University.

Xntrek, 2011. The Threats, Challenges and Weaknesses – Entering the Australian Agricultural Industry. [Online]

Available at: https://gpfarmblog.wordpress.com/2011/05/31/the-threats-challenges-and-weaknesses-to-aust/

[Accessed 11 May 2015].

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